Sensex Down 800 Pts, Nifty Slips Below 22,600; Markets React to tariff threat

Indian benchmark indices are swinging in red on February 24 amid weak global cues as U.S. stocks fell over concerns of softening consumer demand and tariff threats. The street witnessed heightened selloffs across all the sectors.

At around 11:00 am, BSE tumbled 801.71 points, or 1.06%, at 74,509.35, while the Nifty50 declined 226 points, or 0.99%, to 22,570.

Market capitalisation of BSE fell by ₹5.07 lakh crore to ₹397.13 lakh crore.

US consumer sentiment fell to a 15-month low, while inflation expectations spiked amid President Donald Trump’s tariff plans.

Shares of Zomato, HCL Tech, TCS, Tech Mahindra, HDFC Bank, and IndusInd Bank opened on a negative note, while Sun Pharma, Maruti, M&M, Bajaj Finserv, and Nestle India witnessed early gains.

Factors affecting the stock market today

1. Fall in U.S. consumer sentiment

Following a sharp drop in U.S. services activity, buoyed by concerns over tariffs and cost pressures, global markets remained in red.

U.S. consumer sentiment fell to a 15-month low in February, dropping to 64.7 from January’s 71.7, thereby missing economist’s expectations. Households reiterated that President Donald Trump's tariff plans can dampen the purchasing power.

2. Stagflation Concerns

Stagflation in the U.S. has dampened the market sentiments across the globe. Stagflation refers to a scenario where an economy suffers an economic slowdown along with rising inflation. This could impact export-driven sectors like Indian IT and makes emerging markets less attractive to foreign investors.

Nifty IT fell by 1.8% today, driven by fall in shares of LTTS, Persistent Systems, and Coforge.

3. FII outflows

As of 2025, Foreign portfolio investors (FPIs) have dumped Indian equities worth ₹1,01,737 crore on a net basis.

Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said, “The market is facing headwinds from relentless FII selling and global uncertainties relating to Trump tariffs.”